Episode description
So you've decided you are going to start a side hustle! You're imagining all the fun you'll have, and all the money rolling in. It's quite the high!
You may want to stop the presses - for a couple of minutes - and consider a few things first though:
- How will the tax man see what you're doing - will they consider it a real business, or deem it a hobby business, and disallow deductions you've taken?
- Is it something you truly want to do JUST ON THE SIDE, or might you consider doing it full-time at some point?
- What happens if it takes off, and you're swamped with requests for your offering? How do you scale?
In this episode, Jennifer, Daniel, and Patricia look at these, and other concepts you should consider when starting (or expanding) a side hustle. We look briefly at what the IRS wants to see, even from a small, unprofitable business. We look at scaling. We look at what/how much research to do. And we look at when optimizing your tax situation is a better use of your time than starting a side hustle.